Research And Empirical Analysis Of The Optimal Retirement Age Based On Individual Utility And Health

According to the UN statistics, currently there are nearly700million populationsthat over60years old, and about60countries have entered the aging society. In response to the retirement population increases, human life expectancy and the labor shortage caused by low birth rate acceleration, many countries have proposed the policy reform to raises the retirement age. Since1997China has entered the aging society and began to face the pressure from an aging population. Evenafter thirty years of reform and opening up, China’s social and economic development has been rapid, and people’s health and life expectancy thatrelative to the beginning of the fifties and sixties have also been increased, but China’s current legal retirement age still follow the provisions of the fifties of last century.whether the retirement age also adapt to China’s national conditions and should we delay the retirement age have become an issue worthy of study under the background of an aging population in our society. Many studies suggest that, based on the status quo of China’s current social and economic development, the old retirement age has been suited to the development of our country, we should study how to develop an appropriate retirement age.From the perspective of individual lifetime utility maximization to establish an economic model and analyze the person’s retirement age issue, taking into account the older people’s individual utility and health in making appropriate decisions to retire, under the assumption that the health of older people will in different to maximize elderly individual’ slifetime utility when making the decision to retire, and obtaining optimal individual’ soptimal retirement age formulas. Analyze the relationship between the optimal retirement age and the other relevant influencing factors, based on the China’s sixth census data and according to this formula,an empirical analysis of the distribution of the optimal retirement age have been done from different perspectives, such as country, gender and regional. This paper also investigates the optimal distribution of different retirement ages in different sexes and different regions in different economic development level. At the last of this paper, some policy suggestions about the elderly’s retirement reform have been proposed according to the analysis result and the situation of the elderly’s health and personal effectiveness.